BSP Financial Group Limited has confirmed it will replace all magnetic stripe bank cards with modern chip-enabled versions as part of a nationwide push to tighten security and improve customer services.
The transition to BSP’s proprietary Kundu chip cards began in August 2025 and is expected to be fully completed by June 30, 2026, when all existing magnetic stripe cards will be permanently switched off.
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BSP Group General Manager Retail, Ronesh Dayal, said the new cards are designed to better protect customers from fraud, particularly card cloning, while also enhancing everyday banking convenience.
He explained that the chip-enabled cards will remove current withdrawal limitations faced by users of older magnetic cards and provide stronger safeguards for account holders.
To assist customers during the rollout, BSP has set up dedicated card replacement centres, starting at Waigani Central, with additional centres in Lae and Mt Hagen scheduled to open later this month. Customers in other areas can visit any BSP branch to upgrade their cards.
From April 10, 2026, all inactive Kundu magnetic stripe cards — including Sumatin cards that have not been used for more than six months — will be deactivated.
Changes will also affect children’s accounts, with all magnetic stripe cards linked to Kids Saver accounts set to be withdrawn, prompting parents and guardians to arrange replacements before the busy December–January period.
The bank has set June 30, 2026, as the final deadline for the complete removal of all remaining magnetic stripe Kundu cards from use.
“To support customers during this transition, we have established dedicated card replacement centres to facilitate the issuance of new chip-enabled cards at Waigani Central with Lae and Mt Hagen to open Card Centres later this month. Customers outside these locations are able to visit any BSP branch for assistance,” Mr Dayal added.